Dangote to lead new East African refinery in Tanzania

Africa’s foremost industrialist, Aliko Dangote has pledged to lead construction of a major oil refinery in Tanzania, as the continent moves to reduce its dependence on Middle Eastern fuel imports amid heightened geopolitical tensions.

The facility, to be built in the port city of Tanga and linked to Mombasa by pipeline, would process crude from regional suppliers including the Democratic Republic of Congo and South Sudan, according to Kenyan President William Ruto. Dangote said his group would complete the project within four to five years, modeled on his Lagos refinery – currently the world’s largest single-train facility at 650,000 barrels per day, with expansion to roughly 1.4 million barrels per day planned.

Africa produces approximately 7 percent of global crude oil, yet refining capacity has fallen sharply over the past two decades, deepening reliance on imported fuel. Persian Gulf supply disruptions have intensified that vulnerability, particularly for East African nations.

Kenya recently renewed supply agreements with Saudi Aramco, ADNOC, and the Emirates National Oil Company.

The Lagos refinery is already offsetting some regional import demand: in March alone, it shipped some 456,000 tons of refined products across five African markets. The Tanzania project forms part of Dangote’s broader US$40 billion expansion strategy and complements the Uganda-Tanzania crude pipeline.

Ugandan President Yoweri Museveni confirmed his country would supply crude to the new refinery while pursuing its own domestic refining capacity.